Chicago police and fire pension legislation was sent last week to Gov. Bruce Rauner's desk.
The legislation would give the city more time to make its pension payments. The bill cleared the legislature last year and was advanced to Rauner last Tuesday by Illinois Senate President John Cullerton (D-Chicago).
Under the proposal, the city's 2040 deadline to have its police and fire pension funds 90 percent funded would be extended to 2055.
Without the proposed pension changes in place, the city of Chicago had to borrow $220 million last month for a police and fire pension payment due by the end of the year.
State law currently requires the city to make a $550 million contribution to its police and fire pension funds this year.
"Current state law requires that Chicago taxpayers close a $550 million gap in one year, even though it was created by decades of underfunding," Chicago Mayor Rahm Emanuel said in a statement. "That's why I worked with members of the General Assembly to pass . . . a reasonable and responsible funding plan that has the support of police and fire union leaders, passed both the House and Senate, and was included in Gov. Rauner's own pension reform plan. If this bill becomes law, we will ensure that our first responder pensions are secured and fully-funded, while reducing the impact on Chicago's taxpayers."
Lawmakers held off on sending Rauner the bill over concerns that he would veto it.
The governor has a 60-day deadline to take action on the legislation.
Rauner's office released a statement regarding the pension measure.
"The governor has been clear he will consider this legislation as part of a broader package of structural reforms that help taxpayers across the state," the statement reads. "He welcomes dialogue and negotiation with all stakeholders as the process moves forward."